When proceeding with divorce, it is very important for both parties to pay close attention to the relationship between divorce and taxes. The method in which assets are divided can have significant tax consequences to each of the spouses.
Tax consequences pertaining to the division of assets in the marital estate plus payments of spousal support and/or child support may have a strong impact, such as:
· Whether payments to one spouse create taxable income to spouse receiving the payments and
a deduction in income to the spouse paying it
· Is there an impact of potential capital gains taxes?
· Are there tax consequences regarding spousal support or child support?
· Taxes when personal and real estate property is sold
If you are going through a divorce and have questions regarding taxes, contact an experienced Orange County Divorce attorney who will thoroughly analyze your tax consequences from the division of your assets to provide the best structure and results for you.
